North Carolina Down Payment Assistance Systems
Payments Gateway - The North Carolina Housing Finance Agency has two amazing plans for First Time Home Buyers. These programs will be the Mortgage Credit Certificate as well as the deposit Assistance System.
If you meet the requirements for one of the programs and also you purchase a property between January 1, 2009 and December 1, 2009, you can ALSO be eligible for the $8,000 tax credit merely enacted into law.
First, who is a first-time Home Buyer? There is a First Time Home Buyer someone who hasn't owned a home in the past three years. This is the same qualifying definition for the $8,000 tax credit.
What's a Mortgage Credit Certificate and Who Qualifies?
An MCC “reduces your tax liability based on a portion of the mortgage interest which you pay.
It is possible to claim 20% of the interest you pay as a credit on your federal income taxes, should you qualify for the MCC. You are able to save as much as $2,000 on your taxes.
If you do qualify for the MCC you may have the ability to unite this with the $8,000 tax credit. This could reduce a purchaser's tax liability by $10,000.
Who Qualifies for an MCC?
Who qualifies for an MCC is based on your income and the price of the home you are purchasing. Household income means the “gross income of the mortgagor and any other man expected to reside in the home who's 18 years old or older.”
House price limitations that apply in Durham Orange and Chatham Counties and the income are given below.
MCC Income Limitations 1 Person $61,500 2 Persons $61,500 3 Men $70,500 4 Individuals $70,500
MCC Sales Price Limitations New Home $220,000 Existing Dwelling $210,000
The purchaser just has to pay $1,000 of their own funds and the load would pay as much as .
This plan has more rigorous income limitations than the MCC plan summarized above. Like the MCC application, it could be used together with the new $8,000 tax credit on home purchases between December 1, 2009 and January 1, 2009. The down payment help, nonetheless, cannot be used in conjunction together with the MCC. That is an either or situation.
House price limits that apply in Durham, Orange and Chatham Counties and the income are listed below.
Down Payment Assistance Income Limitations
1 Man $39,950 2 Men $45,650 3 Individuals $51,350 4 Persons $57,050
Down Payment Support Sales Cost Limits New House $210,000 Existing Residence $210,000